6 th Zimbabwe Mining and Infrastructure Indaba 8-10 October 2014 Harare, Zimbabwe

6th Zimbabwe Mining and Infrastructure Indaba

8-10 October 2014Harare, Zimbabwe

Xxxxx-xx/Footer2

Table of contents

Xxxxx-xx/Footer3

Introduction

Xxxxx-xx/Footer4

Total responsibility for the energy industry

Policy development

Plan for new capacity

Decide who to build new capacity

Procure new capacity

The Powers of the Minister of Energy

Xxxxx-xx/Footer5

Ensure energy security of supply through:

Introducing Independent Power Producers

Cleaner technologies

Least cost technologies

Support regional integration and development

Key policy considerations

Xxxxx-xx/Footer6

IRP Revised Balance Scenario

Xxxxx-xx/Footer7

INTEGRATED RESOURCE PLAN IMPLEMENTATON

New build optionsCoal

(PF, FBC, imports, own

build)

Nuclear Import hydro Gas – CCGT Peak – OCGT Wind CSP Solar PV

MW MW MW MW MW MW MW MW2010 0 0 0 0 0 0 0 0

2011 0 0 0 0 0 0 0 0

2012 0 0 0 0 0 0 0 300

2013 0 0 0 0 0 0 0 300

2014 5001 0 0 0 0 400 0 300

2015 5001 0 0 0 0 400 0 300

2016 0 0 0 0 0 400 100 300

2017 0 0 0 0 0 400 100 300

2018 0 0 0 0 0 4004 1004 3004

2019 250 0 0 2373 0 4004 1004 3004

2020 250 0 0 2373 0 400 100 300

2021 250 0 0 2373 0 400 100 300

2022 250 0 1 1432 0 805 400 100 300

2023 250 1 600 1 1832 0 805 400 100 300

2024 250 1 600 2832 0 0 800 100 300

2025 250 1 600 0 0 805 1 600 100 1 000

2026 1 000 1 600 0 0 0 400 0 500

2027 250 0 0 0 0 1 600 0 500

2028 1 000 1 600 0 474 690 0 0 500

2029 250 1 600 0 237 805 0 0 1 000

2030 1 000 0 0 948 0 0 0 1 000

Total 6 250 9 600 2 609 2 370 3 910 8 400 1 000 8 400

First Determination

Second Determination

1. Built, owned & operated by IPPs 2. Commitment necessary due to required high-voltage infrastructure, which has long lead time 3. Commitment necessary due to required gas infrastructure, which has long lead time 4. Possibly required grid upgrade

has long lead time and thus makes commitment to power capacity necessary

Xxxxx-xx/Footer8

First Determination

1st Determination – 3724 MW of renewable energy of which over 2400 has be procured

The department and Eskom signed contracts with 47 preferred bidders

Some projects under window 1 are already supplying power into the grid whilst majority are due for connection in 2014

Most window 2 project are under construction and are due for connection into the grid in 2016 - 2017

MW to be procured

Xxxxx-xx/Footer9

Second Determination

Determination – 3200 MW of renewable energy Added to the current Renewable Procurement Programme

Determination – Base load/ mid-merit - 2500 MW of coal based load/ import hydro - 2652 MW of gas fired plant mead married Separate procurement documents being developed

19 December 2012 Determinations

Determination – Medium Term Risk Mitigation - 800 MW from cogeneration - 475 MW from gas of coal base load Separate procurement documents developed

Xxxxx-xx/Footer10

Eskom’s Africa Strategy

To increase imports through supporting the RSA Department of Energy

Support the development of strategic transmission corridor and generation projects

To be involved in Operations and Maintenance (O&M)

In future to export surplus power

11

22

33

44

Xxxxx-xx/Footer11

• Zambia • Botswana• Mozambique• RSA• Namibia

Opportunity for Zimbabwe

To develop interconnectors with:

To participate in future Procurement Programmes

11

22

Xxxxx-xx/Footer12

Thank You